The City of Ballarat Evaluation of Alternate Freight Hub Sites FINAL REPORT June 2010
Suite 604 51 Rawson Street EPPING NSW 2121 PO Box 1075 EPPING 1710
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
CONTACT For further information, please contact: Neil Matthews Managing Director +61 2 9868 2590
HEAD OFFICE Strategic design + Development Pty Ltd Suite 604, 51 Rawson Street Epping NSW 2121 PO Box 1075 Epping NSW 1710 Australia
Telephone +61 2 9868 2590 www.strategicdesign.com.au ABN 51 103 363 257
MELBOURNE Level 8, Collins Street Business Centre 350 Collins Street Melbourne VIC 3000 Australia Telephone +61 3 8605 4831
DISCLAIMER The information contained in this report is solely for the use of the clients identified on the cover for the purpose it has been prepared and no representation is made or to be implied as being made for any third party.
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of Ballarat Freight Hub Feasibility FINAL REPORT (with Appendices) 25 June 2010.docx
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CONTENTS EXECUTIVE SUMMARY ............................................................................................................................. 1 Purpose of the Study ..................................................................................................................... 1 Site Options and Recommendations ............................................................................................. 1 Implementation Plan ...................................................................................................................... 2 1.
BACKGROUND TO THE STUDY ................................................................................................. 5 1.1 Overview ......................................................................................................................... 5 1.2 Study Objective ............................................................................................................... 7 1.3 Scope and Methodology .................................................................................................. 7 1.4 Structure of Report .......................................................................................................... 7 1.5 Study Area....................................................................................................................... 8
2.
THE DEVELOPMENT OF A FREIGHT VILLAGE ........................................................................ 9 2.1 Commercial considerations for a freight hub operator ................................................... 11
3.
FREIGHT HUB ALTERNATE SITE SELECTION ....................................................................... 12 3.1 3.2 3.3 3.4
Road Freight Hub – Airport Common ............................................................................ 12 Combined Road and Rail Freight Hub ........................................................................... 15 Recommended Sites ..................................................................................................... 20 Zoning and ownership considerations for the recommended sites ................................ 23
4.
SITE DEVELOPMENT ................................................................................................................ 28 4.1 Airport North Road Freight Hub Site.............................................................................. 28 4.2 Western Freeway Site ................................................................................................... 29 4.3 Capital Investment Approach ........................................................................................ 30
5.
BUSINESS MODELS FOR A FREIGHT HUB ............................................................................ 33 5.1 Site ownership options .................................................................................................. 33 5.2 Site management options .............................................................................................. 33
6.
FUTURE STEPS ......................................................................................................................... 35
7.
APPENDICES ............................................................................................................................. 37 7.1 Site Scorecards ............................................................................................................. 37 7.2 Potential Site Aerial Photographs .................................................................................. 49 7.3 Freight hub design drawings ......................................................................................... 61
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TABLES Table 1 - Summary scores for potential freight hub sites ............................................................................ 21 Table 2 - Index of potential freight hub sites ............................................................................................... 22 Table 3 - Employment and freight generation - Airport Precinct.................................................................. 29 Table 4 – Employment and freight generation – Western Freeway site ...................................................... 30 Table 5 - Capital Investment profile ............................................................................................................ 32
FIGURES Figure 1 – Proposed site locations ................................................................................................................ 8 Figure 2 - Examples of pickup and delivery costs ......................................................................................... 9 Figure 3 - Freight village conceptualised .................................................................................................... 10 Figure 4 – Aerial view of proposed Airport site............................................................................................ 13 Figure 5 – Aerial view of proposed Western Freeway site .......................................................................... 15 Figure 6 - Airport North zoning and overlays .............................................................................................. 26 Figure 7 - Western Freeway site allotments ................................................................................................ 27 Figure 8 - Airport South ............................................................................................................................... 49 Figure 9 - Airport North ............................................................................................................................... 50 Figure 10 – Frasers Road and Creswick Road ........................................................................................... 51 Figure 11 - Rose Hill Road and Creswick Road .......................................................................................... 52 Figure 12 - Stage 1 Western Freeway Site ................................................................................................. 53 Figure 13 - Cnr Midland Hwy & Western Fwy (Eastern side) ...................................................................... 54 Figure 14 - Coronet Street - Builders Close ................................................................................................ 55 Figure 15 - Creswick Road and Norman Street .......................................................................................... 56 Figure 16 - Creswick Road and Howitt Street ............................................................................................. 57 Figure 17 - Melbourne Road and Water Street ........................................................................................... 58 Figure 18 - Melbourne Road and Strickland Parade ................................................................................... 59 Figure 19 - Coulsons Road ......................................................................................................................... 60 Figure 20 - Layout Drawing – Airport site .................................................................................................... 61 Figure 21 - Layout Drawing - Western Freeway site ................................................................................... 62
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EXECUTIVE SUMMARY Purpose of the Study In 2008, the Victorian Government published their Freight Network Strategy, Freight Futures. Freight Futures acknowledges the importance of Ballarat in the regional landscape of Victoria and the critical importance of Ballarat as one of the key components of the Principal Freight Network. It also suggests that identifying and planning for the sustainable development of the principle freight activity centres in metropolitan and regional Victoria will be a priority under Freight Futures. The City of Ballarat Council (CoB) is cognisant of the role that Ballarat can play in furthering the Victorian Government’s freight network strategy and sees itself as an important freight activity centre. Future development plans for the city stress the importance of jobs growth in manufacturing and service sectors, and such growth is directly connected to the development of capacity to handle freight efficiently. The establishment of an integrated intermodal freight handling facility is considered to be critical to economic growth in the region. Council currently has a unique opportunity to align its own freight policy with that of the state by ensuring that the development of the Ballarat Intermodal Freight Hub is clearly integrated with freight generating precincts, freight corridors and distribution networks to ensure a broader and more complete integration of land use and transport planning. This study has been commissioned to refine the selection of potential sites for a Ballarat Freight Hub in support of a two-pronged strategy to develop a road freight based hub in the short term, followed by the development of a rail freight based hub in the medium to long term when freight volumes have built to a point where such a facility is sustainable. This study follows on from the Feasibility Study completed in late 2009 by Sd+D and is best considered in the context of that study. The scope of works for the study of alternate freight hub sites for the CoB has been stated as follows: •
Investigate all alternate sites for the development of the future Ballarat Rail Freight Hub on the Mildura - Ballarat rail corridor and provide detailed rational for the selection of the optimal site. This investigation must provide a robust case to rule out any future planning disputes.
•
Acknowledging that a Rail Freight operation will not be a viable option in the short to medium term, develop a detailed concept plan and identify the optimal location for a non rail Freight Village at the Ballarat Airport Common. Consideration of the Ballarat Freight Feasibility Study 2009, Planning Scheme requirements and the Industrial Land Strategy is essential. It is intended that this development will provide long term sustainable benefits to the Ballarat West Employment Zone and allow for the immediate relocation of freight operations from the current CBD site.
•
If either site is not included in the Ballarat Industrial Land Use Strategy, then make recommendations to Council regarding rezoning.
•
Develop a capital investment plan for both sites to align capital investment with the projected freight task identified in the Feasibility Study and to present a staged development of the agreed site.
Site Options and Recommendations A review of all potential sites for either a road based freight hub or a combined road and rail freight hub in the Ballarat region was conducted to commence the project. Twelve alternate sites were investigated, including the 2 sites which formed the basis of the analysis in the initial Feasibility Study.
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The sites were selected from a range of options along the Mildura rail line, and within the Airport industrial precinct. Following from that site investigation the recommendations and key findings from this report are as follows: •
The recommended site for a road based freight hub is the Airport North site bounded by Ring Road, Ararat rail line, and Airport Access Road. That site has potentially 150 hectares of available land on which to develop an industrial precinct, of which 16 hectares must be banked for a freight hub.
•
The recommended site for a combined road and rail freight hub is the Western Freeway site bounded by the Western Freeway, the Mildura rail line, and the Old Midland Highway. It is recommended that City of Ballarat adopt a watching brief over this site and consider its inclusion in the next review of the Ballarat Industrial Land Use Strategy.
•
The development of a commercially viable freight hub is directly related to the development of adjacent industry such that the development of a freight village creates a mutually beneficial commercial relationship between the operator of the freight hub and the freight generating and receiving businesses within the industrial precinct. The opportunities for industry centre around the ability to reduce their transport costs while the viability of a freight hub relates directly to the volume of freight moving through that hub.
•
Reliance on the organic growth of freight volumes from existing Ballarat based industry will not create the environment for the development of a commercially viable freight hub. New industry must be attracted to the region to generate new freight volumes.
•
The available industrial land within the Airport North precinct has the potential to generate 3,920 employment opportunities on site and 1.5 Mt of annual freight throughput. These calculations exclude the land allocated for the freight hub.
•
The available industrial land within the Western Freeway site has the potential to generate 640 employment opportunities on site and 300,000 tonnes of annual freight throughput. That throughput equates to approximately 7,000 shipping containers per year,
•
It is recommended that City of Ballarat maintains ownership of the respective land parcels and enters into commercial arrangements with either a property developer and/or the State Government to develop the freight hub in a staged process.
•
It is recommended that City of Ballarat source an independent organisation to operate the freight hub as a commercial entity.
•
Council negotiate a partnership with both the Federal and State Government to secure funding to progress the development of the Ballarat Freight Hub.
•
The Ballarat Freight Hub development must be contiguous with and an extension of the Melbourne Freight Terminal Network. This strategy will assist in positioning Ballarat as a viable location for Melbourne based freight generating industry. It is further recommended that the City of Ballarat engage in discussions with the Victorian Department of Transports to move forward with this recommendation.
Implementation Plan The freight hub and industrial precinct must be developed concurrently in order that the maximum potential is extracted from the concept. The recommended next steps to be taken by City of Ballarat are as follows: 1.
Adopt the recommendation in this report regarding the preferred site for a road based freight hub. The recommended site is the Airport North site detailed in the body of this report. FINAL⏐25/06/2010⏐2
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2.
3. 4. 5. 6. 7.
8.
9. 10.
11.
12. 13.
14.
15. 16. 17. 18.
19.
Adopt the recommendation in this report regarding the site for a combined road and rail based freight hub. The recommended site is the Western Freeway site detailed in the body of this report. Commence the adoption of recommendations regarding the acquisition and zoning of land for the Airport North site. Negotiate for the transfer of title from the Crown for the 150 hectares bounded by the Old Liberator Bomber Strip, Ring Road, the Ararat rail line, and the border of the DDO18. Complete an assessment of the buffer requirements for odorous emissions and their potential impact on the existing operations of MARS. Confirm zoning in the nominated area as Industrial 1 or Industrial 3 based on the outcome of the buffer assessment. Allocate a bank of land of approximately 16 hectares (minimum) in the south-eastern corner of the nominated area, adjacent to the Ararat rail line, and as close as possible to potential access points to the Ring Road extension, for the freight hub. A high level development plan for the freight hub is addressed in later sections of this report, based on the assumption that the freight hub will initially address road freight into and out of the precinct. In order to create flexibility for the future, it is advisable to bank sufficient land to accommodate a rail spur from the Ararat line to service the freight hub in the event that rail freight might be included within the function of the freight hub at a point of time in the future. Complete the design for the Ring Road extension and confirm the total land available for industrial development within the area identified above. Once the design for the Ring Road extension is agreed, bank the required land within the Airport North precinct and agree on the division of the remaining available land for industrial use. Complete detailed design plans for the freight hub based on confirmation of the Ring Road extension and access to the Airport North precinct from that extension. It is recommended that the overlays DD017 and DD018, covering the land within the blue dotted lines in Figure 6 on Page 26 are not addressed at the present time. The overlays require that buildings within the marked area in Figure 6, over 5 and 15 metres tall respectively, receive a permit due to the proximity to the runways of the airport. This issue may not constrain the mid-term development of the industrial precinct, given that 150 hectares of available land is able to be developed outside the areas covered by the overlays. If additional land is required in the future, then land within the overlays will be developed with the knowledge that building heights will be limited. The area recommended for the development of the freight hub and associated industrial development is Crown land temporarily reserved for aerodrome purposes. It is recommended that CoB apply for revocation of that reservation as part of the process of acquiring the land from the Crown. Develop a marketing plan for the industrial precinct. This will include but not be limited to: Develop a value proposition associated with the industrial precinct and engage contractors to provide the marketing collateral to represent that value proposition. The proposition will include incentives to industry such as subsidised power and water for a honeymoon period, suspension of rates for a honeymoon period, availability of quality labour, access to the freight hub, and access to transport infrastructure. Research potential Melbourne based industrial organisations, or organisations based in greater Victoria, that may be incentivised and targeted to relocate. The criteria for suitable organisations may include: Significant volumes of inbound and outbound freight movements such as fast moving consumer goods manufacturing companies Located in an area that has encroaching residential occupancy, or is becoming increasingly land locked Are facing increasing difficulty relating to vehicle access for inbound and outbound freight. Approach and secure commitment from a foundation organisation to relocate. Additional concessions may have to be introduced to induce an organisation to be the foundation in a new industrial development, including support from State Government. Continue the approaches to other industries and organisations utilising the commitment from the first organisation as proof of CoB’s progress. FINALâ??25/06/2010â??3
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20. Once the commitment has been made from the first organisation, source a partner to develop the freight hub. Given earlier comments regarding the impact of development CAPEX, the investment partner may be State Government, or a combination of State Government and private industry. 21. Develop the commercial framework for a partnership arrangement with the hub development partner. Such commercial framework will include issues such as stages of investment and required return on that investment. The commercial arrangements will be predicated by resolution by CoB on the preferred management and control position. 22. Armed with the commitment to develop the freight hub, approach the transport and logistics industry seeking expressions of interest to operate and manage the freight hub. The approach to source a hub operator should include the benefits associated with: 23. Revenue potential based on the relationship between new employees and freight volumes 24. Opportunities to sub-let land and/or facilities to organisations that are related to the freight hub operations such as those mentioned earlier in the report.
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1. BACKGROUND TO THE STUDY 1.1
Overview
2009 Ballarat Freight Hub Feasibility Study Sd+D completed the Feasibility Study to Determine the Best Location for Existing and Future Freight Services for the Ballarat Region1 for the City of Ballarat (CoB) in November 2009. That report assessed the viability of 3 key locations for the development of a combined road and rail freight hub. The locations were the current location in the Ballarat CBD, the junction of the Western Freeway and the Midland Highway on the Mildura Rail Line, and the southern end of the Airport Common on the Ararat Rail Line. The study found that the Airport Common site was a slightly more favourable site on the basis of its inclusion in the Ballarat Review of Future Industrial Areas 2, the availability of large tracts of land under a single title, and its proximity to existing industry within Ballarat. The study determined that there would be insufficient demand for balanced rail freight services to support that component of the freight hub until approximately 2030, on the basis of a dedicated port rail shuttle, and consistent with the intent of the Victorian Freight Futures3 freight strategy document. CoB has recognised that there is the need to develop short term and long term approaches to a freight hub. The needs of existing industry in Ballarat, and the development of the Airport Precinct as an industrial area have resulted in the recognition that there is a short term requirements for a road freight hub based in the Airport Precinct. Looking towards 2030 and the expansion of Melbourne based industry towards Ballarat, there is also the recognition that planning must commence to accommodate the development of a rail freight hub and to provide the fundamental infrastructure to enable rail freight movements. CoB has commissioned this report as an aid to the development of a 2 pronged approach to a freight hub such that the immediate needs of current Ballarat industry may be better serviced, and planning for the long term needs of new industry for the region may commence. This report follows on from the 2009 Feasibility Study and should be read in conjunction with that report.
Policy context In 2008, the Victorian Government published their Freight Network Strategy, Freight Futures. The strategy recognises a number of basic tenets, namely: • • • •
Growth in the Victorian economy will generate significant increases in the volume of freight moved within and through the state. Economic and population growth will need to be supported by an efficient and sustainable freight network. The freight network must incorporate the integrated needs of metropolitan and regional areas in Victoria into the future. We exist in a state of change where flexibility and innovation are required to drive long term productivity increases from the movement of freight.
1 Feasibility Study to Determine the Best Location for Existing and Future Freight Services for the Ballarat Region, Strategic design + Development, November 2009 2 Ballarat Review of Future Industrial Areas, CPG Australia, June 2009 3 Freight Futures, Victorian Freight Network Strategy, State of Victoria, 2008
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Within this environment, and acknowledging the importance of Ballarat in the regional landscape of Victoria, Freight Futures identifies the critical importance of Ballarat as one of the key components of the Principal Freight Network. The City of Ballarat Council is cognisant of the role that Ballarat can play in furthering the Victorian Government’s freight network strategy and sees itself as an important freight activity centre. Future development plans for the city stress the importance of jobs growth in manufacturing and service sectors, and such growth is directly connected to the development of capacity to handle freight efficiently. The establishment of an integrated intermodal freight handling facility is considered to be critical to economic growth in the region. Council currently has a unique opportunity to align its own freight policy with that of the state by ensuring that the development of the Ballarat Intermodal Freight Hub is clearly integrated with freight generating precincts, freight corridors and distribution networks to ensure a broader and more complete integration of land use and transport planning. The 2009 Freight Feasibility Study suggests a strong case for the inclusion of the Ballarat Freight Hub in the Metropolitan Freight Terminal Network (MFTN). That is, the development of the Ballarat Freight Hub would be considered an extension of the development of freight hubs in Dandenong, Braeside, Somerton, and Dynon. The development of the metropolitan Freight Hubs is proposed to provide a total urban port shuttle rail service under the Freight Futures Strategy, and while the Ballarat Freight Hub may be initially mooted as a road freight hub, the inclusion of Ballarat in the metropolitan network may assist in bringing the rail component’s development forward in the timeline. Ballarat and the Freight Task: An Overview The Ballarat freight function has three clear tasks; Movements that support the manufacturing base and population centre within Ballarat, movements that support the farming, mining and population base in the extended hinterland around Ballarat, and movements that pass through Ballarat between capital cities such as Adelaide and Melbourne. The primary focus of this report and the 2009 Ballarat Freight Hub Feasibility Study is the movement of freight between Ballarat and Melbourne. There are potentially two modes of transport available to support those movements; road transport and rail transport. Road transport vehicles range in size and capacity from light commercial vehicles to B-Double vehicles. The use of these vehicles is determined by the size of consignments, the demand profile of the generators of the freight task, and the accessible roadways in the case of B-Double vehicles. Road transportation is the predominant mode of transport for movements between Melbourne and Ballarat. The volume of rail freight transport between Melbourne and Ballarat has been declining as the mode of choice over recent years. The close proximity of Melbourne to Ballarat tends to act as a disincentive for the choice of rail transport as the primary mode as a result of the scale diseconomies that apply to rail transport over short distances. The economic benefits and convenience of road transport has seen the gradual migration of freight from rail to road transport. This migration has also been impacted by the transport buying policies of the major supermarket chains where contracts for the road transportation of groceries to supermarkets include Ballarat as part of the Metropolitan delivery task.
The Existing Ballarat Freight Hub Within the City of Ballarat, one of the primary drivers of the 2009 Ballarat Freight Hub Feasibility Study was the location and efficient operation of the current freight hub, and the desire of the CoB to give consideration to the relocation of the freight activities.
In order to operate a sustainable freight hub on the existing site into the future, the City of Ballarat will be
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required to grant permits for HPFVs to access the site. Such permits will require HPFVs to traverse Lydiard Street in order to access the site, potentially creating the presence of HPFVs in the central commercial district of Ballarat. The current site is considered inappropriate for the future needs of the Ballarat region’s freight handling for the following reasons: •
•
• •
• •
1.2
There is limited room for expansion as the freight task grows into the future, and only sufficient room to accommodate the initial tasks associated with a freight hub. The limited room will also limit the ability to grow the site into a freight village and attract additional businesses to the site. The site is not located close to the main cluster of existing industry, potentially increasing PUD costs as Ballarat’s industry grows into the future, and making the facility uncompetitive when compared with other movement options. The area does not form part of the Industrial Land Strategy formulated by the City of Ballarat Council. The length of rail sidings (at approximately 200 metres) is insufficient to handle a full rake. This necessitates breaking and shunting trains which adds to the PUD costs and reduces the competitiveness of a hub on that location when compared to other movement options There is inadequate access to major highways. There is insufficient buffer zone between the site and residential development surrounding the site. Issues surrounding noise and dust created on the site will increase as throughput volumes increase into the future. The inadequate buffer zone may restrict potential operating hours for a future freight hub.
Study Objective
The objective of this study is to refine the initial site selection process and link recommended sites to a capital investment plan.
1.3
Scope and Methodology
The scope of works for the study of alternate freight hub sites for the CoB has been stated as follows: •
•
• •
1.4
Investigate all alternate sites for the development of the future Ballarat Rail Freight Hub on the Mildura - Ballarat Rail Corridor and provide detailed rational for the selection of the optimal site. This investigation must provide a robust case to rule out any future planning disputes. Acknowledging that a rail freight operation will not be a viable option in the short to medium term, develop a detailed concept plan and identify the optimal location for a non rail Freight Village at the Ballarat Airport Common. Consideration of the Ballarat Freight Feasibility Study 2009, Planning Scheme requirements (i.e. buffers, given proximity to Mars Confectionary) and the Ballarat Industrial Land Use Strategy is essential. It is intended that this development will provide long term sustainable benefits to the Ballarat West Employment Zone and allow for the immediate relocation of freight operations from the current CBD site. If either site is not included in the Ballarat Industrial Land Use Strategy then make recommendations to Council regarding rezoning. Develop a capital investment plan for both sites to align capital investment with the projected freight task identified in the Feasibility Study and to present a staged development of the agreed site.
Structure of Report
The report is structured as follows: • • •
The report commences with an Executive Summary. Section 1 of the report outlines the objectives, scope, and methodology of the project. Section 2 of the report describes the concept of a freight village and outlines the appeal of a development of that nature to the parties involved.
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• • • • •
1.5
Section 3 of the report contains the results of the review of alternate sites for both the road freight and combined road and rail freight hubs, with a recommended site for each hub outlined. Section 4 of the report looks at the link between industrial development, employment creation and freight volumes. The section also addresses the staging of capital investment for a freight hub. Section 5 of the report recommends options for ownership and management of the freight hub site. Section 6 of the report lists a series of future steps to assist CoB to move from concept to a developed industrial precinct with a freight hub. At the end of the report is the Appendix containing aerial photographs of the sites that were considered, the scoring matrix applied to each alternate site, and the high level design plans from the Feasibility Study for reference.
Study Area
Figure 1 – Proposed site locations
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2. THE DEVELOPMENT OF A FREIGHT VILLAGE The development of a freight village provides a strong link between industrial development, generation and attraction of freight, and the opportunity to create scale economies for freight movement. In essence, a collection of freight generating and attracting businesses located in the same industrial precinct, have the potential to reduce their individual freight movement costs by locating close to, and utilising the services of, a freight hub. This is particularly relevant to businesses that generate finished goods for export, and import manufacturing inputs, with both of those components transported as containerised freight. This benefit has the potential to provide significant competitive advantage for Ballarat as a location for new industry. Individual organisations operating their freight movements independent of other freight generating organisations, often incur the cost of pickup and delivery (PUD) at either end of a long distance linehaul movement. Examples of these costs may be seen when freight volumes are less than full containers; transport companies use smaller capacity vehicles to collect freight and return it to their depots where the freight is consolidated into larger vehicles or shipping containers for long distance journeys. Figure 2 below illustrates this process. Figure 2 - Examples of pickup and delivery costs Freight Generator
PUD
Consolidation
Export
RIGID RIGID
RIGID
Less than container freight
Full container freight
Source: Sd+D In order for the transportation organisation to achieve economies in the long distance movement of freight, a consolidation company will ensure that the long distance movement vehicle is loaded to maximum capacity, and the mechanism to achieve this target is consolidation of freight. The cost of collecting the freight for consolidation (pickup and delivery cost) is directly related to the volume of freight to be consolidated and the location of the freight generator in relation to the consolidation point. While Figure 2 above demonstrates consolidation and related components for export based freight, the same is applicable to freight movements between the point of freight generation to a domestic customer. If a transport company has a number of clients that are located in the same geographical region, and are sending freight to the same receiving point (for example, Melbourne manufacturers sending to a Woolworths distribution centre in Brisbane), unless each individual client has the volume in their own right to send full trailer loads, it is in the interest of the transport company to consolidate freight across a number of clients to maximise movement economies.
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Where clients do have the volume of freight to despatch full trailer loads, consolidation of trailers may enable a transport company to consolidate multiple trailers into B Double configurations or (in some cases) road train configurations to gain economies over the long distance journey between metropolitan centres. The combination of freight generating and attracting organisations and a freight hub, within the same industrial precinct, allows the organisations despatching and receiving the freight the opportunity to significantly reduce the pickup and delivery costs. The reduction of those costs may be of significant benefit to organisations generating and receiving freight. In a recently completed project which reviewed freight movements along the Flinders Highway4, Sd+D assessed that the pickup and delivery costs at either end of the rail journey, when added together, were equal to the cost of the linehaul movement. Similar relativities exist for road transport movements, reinforcing the attraction of a freight village as a method of reducing potentially up to 50% of the end-to-end transport costs. There are several additional benefits associated with the co-location of a freight hub and an industrial precinct within a freight village. Some of those benefits relate to: • •
•
•
Reduction in merchandise handling points. Finished goods despatched by organisations may require less physical handling with the removal of the pickup and delivery component. Reduction in lead time. Each handling point in freight movement has a time component associated with it. The potential reduction in handling points may also reduce lead time to supply products. Greater access to transport services. A freight hub will serve as a point of attraction to a number of transport companies. The senders of freight may have the opportunity to increase their choice of carrier, and also to increase the competition for freight between transport companies operating from the hub or seeking loads from the hub. Greater access to export services. A freight hub may conceivably attract services that assist export movements through the location of empty shipping containers, Customs clearance services, Australian Quarantine and Inspection Services, and freight forwarding services in close proximity to the industries relying on those services. The location of those services close to the freight generating industries facilitates the smooth and efficient export of products, and reduces the lead time involved in the processes post-manufacture.
The association between the freight hub and industrial precinct is depicted in Figure 3 below. Figure 3 - Freight village conceptualised
Container storage
Industrial precinct
Freight hub
Source: Sd+D
4
Townsville Mt Isa Corridor Study, 2010, Sd+D (unpublished) FINAL⏐25/06/2010⏐10
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2.1
Commercial considerations for a freight hub operator
The operator of a freight hub must be able to generate revenue from the activities performed within the freight hub. The volume of transactions that the operator is able to levy a charge for, determines the commercial viability of the freight hub. The type of activities that an operator is able to change for includes: • • • • • •
Loading and unloading road vehicles Loading and unloading shipping containers Loading and unloading rail vehicles Storage of product and rental of warehouse space Picking and loading customer orders Rental of premises which may be sub-let to transport companies, and ancillary businesses such as mechanical repair businesses and freight forwarding businesses.
The majority of the revenue base is transaction based, and linked to the volume of freight moving into and out of the industrial precinct, using the freight hub as the funnel for inbound and outbound movements. Transactional revenue is potentially supplemented by the ability to sub-let some of the space within the freight hub to related businesses, such as service stations, mechanical repair businesses, food outlets, freight forwarders, truck wash facilities, export/import related businesses such as container fumigation operations, and Australian Government departments such as AQIS, and Australian Customs. The 2009 Feasibility Study indicated that if an operator of the proposed freight hub is required to invest capital to develop the facility, and therefore achieve a return on that capital investment, then it is not possible to operate a profitable and sustainable hub operation. If the capital, interest, and depreciation are removed from calculations, the freight hub is profitable around 2015. The profitability calculations have been based on: • •
The inclusion of the LCL freight volumes that were being handled at the old freight hub adjacent to Ballarat Railway Station, and Organic growth projections for freight volumes that are contestable by a Ballarat freight hub.
The potential profitability of the site may be altered through increases in volume throughput over and above the organic growth projections represented in the Feasibility Study however the removal of capital, interest, and depreciation from the calculations will still be required to ensure profitability can be achieved. That is, the profitability of the freight hub, and the commercial opportunity for a hub operator, can be accounted for through the introduction of large freight volumes to the surrounding freight precinct to maximise the revenue opportunities for the hub operator. Reliance on organic growth of freight volumes that are contestable by the freight hub will not be sufficient to attract a hub operator to the site if they are seeking to establish a commercially viable operation. Information provided by CoB during the course of this project has indicated that the requirement to relocate the LCL freight handling from the current freight hub site near the Ballarat CBD to the agreed road freight hub site is no longer necessary. This development removes the opportunity to create a freight hub with ‘base’ freight volumes, and increases the reliance on new industry to the region to generate the freight volumes necessary to establish a commercially viable freight hub.
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3. FREIGHT HUB ALTERNATE SITE SELECTION Based on the findings of the 2009 Ballarat Freight Feasibility Study which clearly identified the current freight hub site in the CBD as being inadequate and in line with the project scope, a number of alternate sites for both a road and a combined road and rail freight hub were assessed. The site selection was completed in 2 stages; a preliminary selection of sites, and a final ranking of alternatives. This process was conducted separately for both the potential road and potential road and rail hub sites. The preliminary selection process was conducted using aerial maps of the Ballarat region, and using a number of high level criteria. The road freight hub selection was centred on available sites within the Airport Common due to the Council’s planning for the Ballarat West Employment Zone, and used the following high level criteria: • • • • •
Review possible sites within the Airport Common Review sites that appear to have a minimum of 16 hectares of clear land Review buffer distances from planned or existing residential areas Review buffer distances from the MARS operations to minimise potential issues from odours/dust emanating from a hub site or supporting industry Overlay the aerial maps with known or potential flooding or water drainage issues
The combined road and rail freight hub selection used the following high level criteria: • • • • • •
Review possible sites along the Mildura rail line, both to the north and to the south of the City Review sites that appear to have a minimum of 16 hectares of available land Review sites that may be sufficient in size to accommodate a 900 metre rail siding Review proximity to the known or planned access points to the Western Freeway Review sites that have the potential to expand into an industrial precinct Overlay the aerial maps with known or potential flooding or water drainage issues
The various potential sites were then inspected in conjunction with key CoB resources to assess their viability in detail. Each site was rated using a similar rating scale to the rating system used in the Feasibility Study5, and the results of the rating are included in the Appendix to this report. The Appendix also includes aerial photographs of the potential sites for further clarification. The alternate sites are discussed in more detail within this section, with recommendation for preferred locations included.
3.1
Road Freight Hub – Airport Common
The potential sites within the Airport Common are broadly split into Airport Precinct South and Airport Precinct North.
5
Strategic design & Development, op.cit. FINAL⏐25/06/2010⏐12
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 4 – Aerial view of proposed Airport site
3.1.1
Airport Precinct South
Airport Precinct South is defined as the area bounded by Blind Creek Road, the Ararat Rail Line, and Ring Road. In reviewing this site as a possible road freight hub and part of industrial development, the following considerations were noted: • •
• • • • • • •
6
The available land exceeds the minimum 16 hectare requirements. There are a number of land zoning or land title issues which are being investigated through the Ballarat West Employment Zone Project. Furthermore, transfer of the land to Council control is not envisioned as a significant issue. The area forms part of the Ballarat Future Review of Industrial Areas6, but requires a change in zoning to Industrial 1. The area is directly opposite the MARS operations, questioning whether there is sufficient buffer to prevent possible odours from industrial activity contaminating the MARS production process. The area has significant water flow issues to the immediate South West of the site which may require investment in remedial activity. The Skipton Trail cuts across the site, making for a potentially unfavourable mix of industrial and tourist activity. There is an ongoing concentration of residential activity to the West and South of the site which may require a larger buffer from planned industrial activity. The planned Future Western Arterial Road bisects the site, reducing the availability of land for future industrial growth. Access to Ring Road development and the Western Freeway (through additional planned road developments and links) is a strong attraction for a road freight hub.
Ballarat Review of Future Industrial Areas, op.cit FINAL⏐25/06/2010⏐13
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
• • 3.1.2
There is potential for access to the Ararat rail line should the site be considered as a combined road and rail freight hub in the future. There is limited access to roads connecting the proposed site. Airport Precinct North
Airport Precinct North is defined as the area bounded by the Ararat rail line, the Airport Access Road, the Ring Road and in reviewing this site as a possible road freight hub and part of industrial development, the following considerations were noted: • •
•
• • •
• •
7
The available land exceeds the minimum 16 hectare requirements. There are a number of land zoning or land title issues which are being investigated through the Ballarat West Employment Zone Project. Furthermore, transfer of the land to Council control is not envisioned as a significant issue. The area forms part of the Ballarat Review of Future Industrial Areas7, but requires a change in zoning to Industrial 1 if there is a requirement to attract heavy and light manufacturing industries to the larger site. There is a significant buffer between the site, the MARS operation, and residential developments surrounding the Airport Precinct. The area has no significant water flow issues related to the site. The planned Future Western Arterial Road touches the Ring Road boundary of the site leaving sufficient available land for future industrial growth to the North of the arterial. The potential addition of a roundabout on the Future Western Arterial Road, at or near the commencement of the Airport Access Road, will also compliment the site with facilitated access for large transport vehicles. The Airport Access Road will be located within the wide reserve over the former bomber runway alignment. Access to the Ring Road development and the Western Freeway (through additional planned road developments and links) is a strong attraction for a road freight hub. There is close access to existing industry which may act as an inducement for Ballarat based road freight operators to relocate to the site.
Ballarat Review of Industrial Areas, op.cit FINAL⏐25/06/2010⏐14
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
3.2
Combined Road and Rail Freight Hub
Figure 5 – Aerial view of proposed Western Freeway site
Several potential sites for a combined road and rail freight hub were considered and reviewed against site selection criteria. The potential sites followed the Mildura rail line and the Midland Highway from the junction with Frasers Road towards the City, and east of the City following the Mildura rail line where access to potential sites is from Melbourne Road. 3.2.1
Frasers Road and Creswick Road
The potential site is defined as the area bounded by the Mildura rail line, Creswick Rd (Midland Hwy) and Frasers Rd. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • • • •
• •
8
The area does not form part of the Ballarat Review of Future Industrial Areas however it is already Zoned Industrial 1. There is sufficient land available; however earthworks (engineered filling) may be required to prepare the land for industrial use and to build up to the level of the rail line. The land is on the fringe of areas that are potentially flood affected. Land to the north of Millers Road is subject to an Environmental Significance Overlay to recognise the specific need to control salinity and erosion in the area8. The land is zoned for farming north of Millers Road, and will require re-zoning to Industrial 1. The titles to the land must be reviewed to assess the potential for acquisition of the required parcel. Visual inspection of the site indicated 1 resident, however ownership is unknown. The land is located a good distance away from the junction of the Midland Highway and Western Freeway, reducing the appeal to road transport operators.
Ballarat Review of Future Industrial Areas, June 2009, CPG Australia at page 19 FINAL⏐25/06/2010⏐15
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• • 3.2.2
The land cannot be viewed as being attractive to existing industry in Ballarat due to the potentially high pickup and delivery (PUD) costs to industry accessing the freight hub. There is sufficient land to allow for a 900 metres rail siding to service the site. Rose Hill Road and Creswick Road
The potential site is defined as the area bounded by the Mildura rail line, Creswick Rd and Rose Hill Rd. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • • • • • •
•
• • 3.2.3
The area does not form part of the Ballarat Review of Future Industrial Areas. There is sufficient land available; however earthworks (engineered filling) may be required to prepare the land for industrial use and to build up to the level of the rail line. The land is in the centre of areas that are potentially flood affected. Land to the north of Millers Road is subject to an Environmental Significance Overlay to recognise the specific need to control salinity and erosion in the area9. The land will require a change to zoning from Farming to Industrial 1. The land is located a good distance away from the junction of the Midland Highway and Western Freeway, reducing the appeal to road transport operators. This issue is less prominent than at the Frasers Road potential site. The land cannot be viewed as being attractive to existing industry in Ballarat due to the potentially high pickup and delivery (PUD) costs to industry accessing the freight hub. This issue is less prominent than at the Frasers Road potential site. The titles to the land must be reviewed to assess the potential for acquisition of the required parcel. There is sufficient land to allow for a 900 metres rail siding to service the site. Western Freeway Site
The site that formed part of the Feasibility Study was re-visited to assess whether the comments made in that study in relation to the site were still applicable. The potential site is defined by the area bounded by the Old Midland Highway, the Western Freeway, and the Mildura rail line. In particular: • • • • • •
The area does not form part of the Ballarat Review of Future Industrial Areas. Inclusion in that strategy would be required to increase the viability of the site. The land is under multiple titles, requiring a strategy for acquisition over the long term. Zoning has been completed to allow for industrial users on the Western side of the rail line. Access to the Midland Highway and the Western Freeway is excellent, raising the attraction for development of a future industrial precinct. There is sufficient land to allow for a 900 metres rail siding to service the site, subject to the closure of Millers Road. The site is on the fringe of flood prone areas; however the Feasibility Study has recommended remedial action to address this issue.
The following sites are located on the city side of the Western Freeway, following the rail line with major access continuing to be the Midland Highway. 3.2.4
Cnr Midland Highway and Western Freeway – Southern Side (marked in the photograph in the Appendices as Eastern side)
The first site for consideration is bounded by the Western Freeway, Creswick Road, and Heinz Lane, with access via the extension of the Old Midland Highway. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted:
9
Ibid. FINAL⏐25/06/2010⏐16
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
• • •
• •
• •
3.2.5
The area does not form part of the Ballarat Review of Future Industrial Areas. However the site is currently zoned Industrial 1. There appears to be sufficient land available for industrial development, however earthworks (engineered filling) may be required to build up to the level of the rail line. The land is currently part of an industrial sub-division, with land under many titles. The site features a range of development levels from Greenfield to fully constructed, indicating that demolition as well as site acquisition may be required. The land is located in close proximity to the junction of the Midland Highway and Western Freeway, increasing the appeal to road transport operators. To the East of the Mildura rail line, land is zoned Residential 1. Not all of the available residential land has been developed, and the potential hub site will require assessment to ensure adequate noise buffers are available if both the freight hub and available residential land are fully developed. There is insufficient land to allow for a 900 metres rail siding to service the site. Access to the site is in close proximity to a roundabout which may not allow for ease of access and egress for transport vehicles. The length of a High Performance Freight Vehicle (‘HPFV’ is between 36 and 52 metres in length) and may mean that the ability to navigate through the roundabout will be difficult and cause disruption to general traffic movements. Coronet Street and Builders Close
On the opposite side (South West side) of Creswick Road to the previously mentioned site, there is land available at the end of Builders Close, off Coronet Street. The site was included as a result of the amount of land available and the proximity to industrial areas; however there are additional observations that are relevant in the assessment of the site: • • • •
• •
3.2.6
There is no feasible access to the Mildura rail line. There are residential areas in relatively close proximity, suggesting buffers may not be able to be maintained to prevent noise reducing the amenity of residents in the nearby areas. The available land may limit expansion and development of an industrial precinct as it is bounded by existing businesses and a residential area. Considerable earthworks (engineered filling) would be required to the land area to facilitate the development of a freight hub. The potential site has a water course running through the area which may require culverts in addition to filling. Access for (HPFVs) may not be available; however Council plans for access roads for HPFVs are unknown at this stage. The area does not form part of the Ballarat Review of Future Industrial Areas and is currently zoned Industrial 1. Cnrs of Creswick Road and Norman Street
There are 2 potential sites associated with the intersection of Norman Street and Creswick Road. 3.2.6.1
• •
• •
The North East side of the intersection houses a disused foundry site currently for lease, located next to a bus terminal and depot. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: The area does not form part of the Ballarat Review of Future Industrial Areas. There appears to be sufficient land available, if a portion of the golf course backing the foundry can be acquired along with the bus depot. This adds a level of complexity to the site selection decision. The land is at the same level as the Mildura rail line, minimising potential earthworks (engineered filling). The land is located in relatively close proximity to the junction of the Midland Highway and Western Freeway, however as potential sites are identified closer to the city, this advantage lessens and the probability of being issued permits for HPFVs decreases.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
• •
• •
3.2.6.2
3.2.7
There appears to be limited expansion capability within the land area to bring additional industrial activity to the site without further acquisition of golf course land. Residential development to the east of the bus depot on land previously housing a school may not be adequately buffered from the site. The potential impact of noise on the amenity of residents will need to be considered in assessing if an adequate buffer zone exists. There is insufficient land to allow for a 900 metre rail siding to service the site without the further land acquisition mentioned above. Egress from the site would risk freight vehicles blocking the Mildura rail line while waiting for traffic lights to change at the intersection of Creswick Rd (Midland Highway) and Norman Street. The south western side of the intersection houses a vacant factory with significant available land. While this site was reviewed, there is no ability to connect to the Mildura rail line making the site unsuitable for a rail freight hub. Creswick Road and Howitt Street
The remaining site considered on the Northern side of the City was the area bounded by Howitt Street, Creswick Road, the Mildura rail line, and adjacent to the United Group operations. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • •
• •
• •
The area does not form part of the Ballarat Review of Future Industrial Areas. There is insufficient land available to accommodate a 900 metre rail spur or the development of an industrial precinct without agreement from United Group to purchase some or all of their land. This may be a significant procurement issue that will hamper the selection of this potential site. The land is at the same level as the Mildura rail line, minimising potential earthworks (engineered filling). The land is not located in relatively close proximity to the junction of the Midland Highway and Western Freeway, and the probability of being issued permits for HPFVs decreases as potential sites are identified closer to the centre of Ballarat city. While the Midland Hwy is currently approved as a B Double route, HPFV access is yet to be determined. There is heavy residential occupation of the land to the east of the Mildura rail line, removing the opportunity to create a buffer against noise. The volume of commuter traffic on the road networks closer to the City increases potential objections to an increase in freight traffic. There is potential for the risks associated with the current freight hub site to be simply transferred to a site marginally north of the current site.
The remaining sites reviewed as potential combined road and rail freight hub sites are located to the south east of the City. 3.2.8
Melbourne Road and Water Street
The first site is bounded by the Mildura rail line, Melbourne Road, and Water Street. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • • • • •
The area does not form part of the Ballarat Review of Future Industrial Areas. The site is out of alignment with any existing or planned industrial areas for the City. There is insufficient land available to accommodate a 900 metre rail spur or the development of an industrial precinct. Land would require re-zoning to accommodate industrial development. The land is some 3 metres below the level of the Mildura rail line, prohibiting the construction of a spur or siding onto the site. The land is not located in relatively close proximity to the junction of the Midland Highway and Western Freeway, and the probability of being issued permits for HPFVs decreases.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
• •
•
3.2.9
There is a significant amount of low density residential occupation of the land to the East of the Melbourne Road, removing the opportunity to create a buffer against noise. Access to the site from the South is via an underpass under the Mildura rail line. The rail bridge is a heritage listed bridge with a clearance of 4.3 metres which is too low to accommodate freight vehicles. The land is not located close to existing industry, reducing the opportunity for existing industry to use the site. Melbourne Road and Strickland Pde
The site under review is bounded by Melbourne Road, Strickland Parade and the Mildura rail line. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • • •
•
• • •
3.2.10
The area does not form part of the Ballarat Review of Future Industrial Areas. The site is out of alignment with any existing or planned industrial areas for the City. There is insufficient land available to accommodate a 900 metre rail spur or the development of an industrial precinct. The land is less than 3 metres below the level of the Mildura rail line. While this elevation is not as significant as that associated with the previous site, it still prohibits the construction of a spur onto the site. The land is located in relatively close proximity to the Western Freeway access, but the probability of being issued permits for HPFVs is questionable given the width of access roads and length of HPFVs. Access routes for HPFVs are yet to be decided by the Council. There is residential occupation of the land within the nominated site, requiring Council effort to change zoning and acquire the premises. Strickland Parade is the only access for residential areas South of the exit from the Western Freeway. Access to the site from the South is via an underpass under the Mildura rail line. The rail bridge is a heritage listed bridge with a clearance of 4.3 metres which is too low to accommodate freight vehicles. Coulsons Road and Mildura Rail Line
Further south east of the potential site, there are significant amounts of land currently under pasture. The area in question is bounded by Coulsons Road and the Mildura rail line, and bounded by Farrells Road in the South. In reviewing this site as a possible road and rail freight hub and part of industrial development, the following considerations were noted: • • • • •
• •
The area does not form part of the Ballarat Review of Future Industrial Areas. The site is out of alignment with any existing or planned industrial areas for the City. There is sufficient land available to accommodate a 900 metre rail spur and the development of an industrial precinct. The land is close to the level of the Mildura rail line. This may limit the amount of earthworks (engineered filling) required to build a rail spur at the same height as the rail line. The land is not located in relatively close proximity to the Western Freeway access, and would be unattractive to road freight operators. The topography of the land is unsuited to the development of either a freight hub or an industrial precinct even though parts of the land are at a similar level to the Mildura rail line. Further research would be required to assess if there is sufficient flat land available adjacent to the rail line, to allow for the development of a freight hub. Access to the site would be via an uncontrolled intersection with the Western Highway and convoluted local road route. The land is not located in close proximity to existing industry in Ballarat, increasing the pickup and delivery (PUD) cost and reducing the attractiveness to that industry.
FINAL⏐25/06/2010⏐19
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
3.3
Recommended Sites
The 2 sites recommended for a road freight hub and a combined road and rail freight hub are the Airport Precinct North site, and the Western Freeway site respectively. The sites were selected after each potential site was rated using a scoring matrix similar to that used in the Feasibility Study. Individual site scores are shown in the Appendix to the Report. The summary scores for each site are shown in Table 1 below.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Table 1 - Summary scores for potential freight hub sites
Highway & Freeway Connections Road Freight Hub Sites
Road and rail Freight Hub Sites
Rail Operations
Land Profile
Feeder Industry & PUD Cost
Expansion Capability
Ballarat Planning Scheme
TOTAL
Site 1
4.20
N/A
7.2
2.4
1.8
4.73
20.33
Site 2
6.6
N/A
8.10
2.40
2.34
5.40
24.84
Site 3
4.8
2.4
4.05
0.0
1.08
4.73
17.06
Site 4
4.8
2.4
4.05
0.0
1.08
4.73
17.06
Site 5
6.00
2.40
4.95
0.30
1.08
5.40
20.13
Site 6
4.20
1.50
4.50
0.60
0.54
4.73
16.07
Site 7
3.00
0.00
4.50
0.00
0.90
4.05
12.45
Site 8
3.00
2.10
4.95
0.00
0.54
4.05
13.59
Site 9
3.00
1.50
4.50
0.00
0.54
4.05
14.64
Site 10
1.20
0.60
4.05
0.00
0.54
4.05
10.44
Site 11
1.80
1.20
4.05
0.00
0.54
4.05
11.64
Site 12
4.0
2.40
4.50
0.00
1.08
4.05
16.23
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
The index of sites is shown in Table 2 below. Table 2 - Index of potential freight hub sites Hub Site Definition
Site
Location
Road Freight Hub Sites
Site 1
Airport Precinct South. The area bounded by Blind Creek Road, Ring Road, and the Ararat rail line Airport Precinct North
Site 2
The area bounded by Ring Road, the Ararat rail line, and the Airport Access Road Frasers Road and Creswick Road
Road and Rail Freight Hub Sites
Site 3
The area bounded by Frasers Road, Creswick Road and the Mildura rail line Rose Hill Rd and Creswick Road
Site 4
The area bounded by Rose Hill Road, Creswick Road, and the Mildura rail line Western Freeway Site
Site 5
The area identified in the Feasibility Study and bounded by Western Freeway, Midland Highway, and the Mildura rail line Corner Western Freeway and Midland Highway – Southern side
Site 6
Site 7
The area bounded by Western Freeway, Creswick Road, the Mildura rail line, and Heinz Lane Coronet Street and Builders Close The area at the end of Builders Close, off Coronet Street Norman Street and Creswick Road
Site 8
The site bounded by Norman Street, Creswick Road, and the Mildura rail line, at the North East side of the intersection Howitt Street and Creswick Road
Site 9
The site bounded by Hewitt Street, Creswick Road, the Mildura rail line, and adjacent to the United Group operations Melbourne Road and Water Street
Site 10
The area bounded by Melbourne Road, Water Street, and the Mildura rail line Melbourne Road and Strickland Parade
Site 11
The area bounded by Melbourne Road, Strickland Parade, and the Mildura rail line Coulsons Road and Farrells Road
Site 12
The area bounded by Coulsons Road, Farrells Road, and the Mildura rail line.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
3.4
Zoning and ownership considerations for the recommended sites
This section of the report outlines some of the detailed considerations that will need to be addressed by CoB in developing the recommended freight hub sites. The recommended sites are viewed in this section, for their potential to develop beyond a freight hub to include the concept of a freight village supporting industrial development in the immediate vicinity of the hub. 3.4.1
Airport North
The Airport North site is made up of approximately 290 hectares of land, nominated in the Land Use Concept Plan10 as light industrial in the eastern sector and with a potential for freight and logistics in the south eastern corner adjacent to the Ararat rail line. In assessing the site for suitability to develop a road freight based hub, the following considerations are noteworthy, and will require action from CoB to resolve and/or manage: •
• •
•
•
•
The land is comprised of 3 Crown allotments, with CoB as the Committee of Management for the land. If a freight hub and subsequent industrial village is to be developed on a portion of the land, title must be transferred from the Crown to CoB, or a suitable lease arrangement must be agreed. The area identified as a potential freight hub site is zoned Special Use 6. The area is temporarily reserved for aerodrome purposes, and the reservation status will require revocation. The Land Use Concept Plan11 recommends zoning as Industrial 3, due to the potential impact of attracting industries that generate industrial waste outputs that are odorous might have on the existing MARS operations located in relatively close proximity. Further research is required to test this assumption and potentially validate Industrial 1 zoning to attract a wider range of industries to the precinct. There is a proportion of the land that is impacted by Airport Environs Overlay Schedules 1 & 2, and Design and Development Overlay Schedules 17 & 18. With those overlays in place, the available land for industrial development in Airport North is reduced to approximately 165 hectares. Figure 6 below notes the zoning and overlays. The planned route for the Ring Road extension does cut through some of the site. While the exact route is yet to be finalised, the division of the site may reduce the available land by (say) 10% reducing the available 165 hectares to approximately 150 hectares. Heritage issues which cover the northern aspects of the site
Further considerations include the following; • • •
There is convenient access to effluent disposal facilities for heavy industry and (potentially) recycled water. A connection to the existing sewerage system is in close proximity. Telecommunications and electricity services are not seen as being difficult to connect to the site.
Recommended steps to be taken by CoB in preparing the land for development are as follows: • • • •
10 11
Negotiate for the transfer of title from the Crown for the 150 hectares bounded by the Old Liberator Bomber Strip, Ring Road, the Ararat rail line, and the border of the DDO18. Complete an assessment of the buffer requirements for odorous emissions and their potential impact on the existing operations of MARS. Confirm zoning in the nominated area as Industrial 1 or Industrial 3 based on the outcome of the buffer assessment and other Strategic Planning processes. Allocate a bank of land of approximately 16 hectares (minimum) in the south-eastern corner of the nominated area, adjacent to the Ararat rail line, and as close as possible to potential access points to the Ring Road extension, for the freight hub. A high level development plan for the
Ballarat Aerodrome and West Common Draft Land Use Concept Plan, January 2008, Beca. Ibid. FINAL⏐25/06/2010⏐23
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•
• •
•
• 3.4.2
freight hub is addressed in later sections of this report, based on the assumption that the freight hub will initially address road freight into and out of the precinct. In order to create flexibility for the future, it is advisable to bank sufficient land to accommodate a rail spur from the Ararat line to service the freight hub in the event that rail freight might be included within the function of the freight hub at a point of time in the future. Complete the design for the Ring Road extension and confirm the total land available for industrial development within the area identified above. Once the design for the Ring Road extension is agreed, bank the required land within the Airport North precinct and agree on the division of the remaining available land for industrial use. Complete detailed design plans for the freight hub based on confirmation of the Ring Road extension and access to the Airport North precinct from that extension. It is recommended that the overlays DD017 and DD018, covering the land within the blue dotted lines in Figure 6 are not addressed at the present time. The overlays require that buildings within the marked area in Figure 6, over 5 and 15 metres tall respectively, receive a permit due to the proximity to the runways of the airport. This issue may not constrain the mid-term development of the industrial precinct, given that 150 hectares of available land is able to be developed outside the areas covered by the overlays. If additional land is required in the future, then land within the overlays will be developed with the knowledge that building heights will be limited. The area recommended for the development of the freight hub and associated industrial development is Crown land temporarily reserved for aerodrome purposes. It is recommended that CoB apply for revocation of that reservation as part of the process of acquiring the land from the Crown. Liaise with Heritage Victoria to ensure heritage issues are considered. Western Freeway
The Western Freeway site has been recommended as the best available site for a combined road and rail freight hub. The zoning and ownership considerations relating to the site are linked to the assessment that a rail freight hub will not have sufficient freight available to support dedicated port shuttle train for import and export containers until 2024 without the addition of new freight generating businesses. This assessment allows CoB time to plan ahead for the development of the site. Relevant considerations for the Western Freeway site are: • •
•
•
• • •
Full assessment of the site will be required through the next review of the Ballarat Industrial Land Use Strategy. The land is zoned Industrial 1 in the area bounded by the Mildura rail line, Millers Road, and the Midland Highway. North of Millers Road the land is zoned Farming. If the site is to become part of a freight village, zoning changes will be required north of Millers Road if there is sufficient demand for the land. The total Industrial 1 zoned land on the site, available for a freight village without further rezoning, is 34 hectares. On the assumption that a road and rail freight hub will occupy 16 hectares, there is 18 hectares of land available for the development of an industrial precinct. The land is not owned under a single title, so the process of acquisition and incorporation into a single title for the development of a freight hub will require time to complete. There are 18 sites on the nominated land, of which 6 are used for residential purposes, 6 are vacant, 3 are warehouses, 1 is mechanical use, and 2 are currently used for industrial purposes. Figure 7 below explains the composition of lots on the site. Land to the east of the Mildura rail line is partially impacted by a flooding overlay The land to the north of Millers Road is subject to an Environmental Significance Overlay. In order to accommodate the recommended 900 metres required for a rail siding, the Feasibility Study included the closure of Millers Road which will require significant consultation and assessment of impacts.
The Victorian Government has invested in the Mildura Rail line to improve sleepering and track integrity. While this investment is a consideration in site selection, the broader considerations relate to the ability for CoB to attract freight generating industries to an industrial precinct, the ability to FINAL⏐25/06/2010⏐24
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
generate a return on capital invested in a freight hub, and the ability to support a port-related container rail shuttle service linked to the hub. Past reports referenced in the Feasibility Study indicated that there was an option for a freight train servicing Mildura to stop at Ballarat to collect additional freight for movement to Melbourne. This proposal relies on marginally available space for through-freight and may not be sustainable as potential rail volumes are realised into the future. If rail volumes are viewed in the light of a dedicated port-shuttle service, the link to the Mildura line may not be applicable for the freight hub. Recommended steps to be taken in preparing the land for development include: • • •
Ensure the Rail Freight Hub located on the Western Highway/Midland Highway site is included in the next revision of the Ballarat Industrial Land Use Strategy. Instigate a watching policy to enable acquisition of occupied lots as they become available for sale should the site be adopted through the Ballarat Industrial Land Use Strategy. CoB may consider banking land either to the north of Millers Road or to the East of the Mildura Line to allow for growth of an industrial precinct beyond the land nominated. In order to address expansion in either of those 2 directions, an Environmental Significance overlay and a floodway overlay must be examined and addressed. Before these overlays are addressed, CoB will need to make an assessment of the total land required for a combined industrial zone and freight hub. When comparing the potential site to established industrial precincts with freight hubs, 35 hectares of total land may be sufficient to accommodate a commercially sustainable freight hub within an industrial precinct. Somerton in Melbourne has total available land of 20 hectares, while Minto in Sydney is sustainable at 12 hectares. It is recommended that CoB maintain a watching brief at this stage, with a view to assessing expansion opportunities based on demand for land around the proposed hub site.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 6 - Airport North zoning and overlays
Source: Ballarat Aerodrome and West Common Draft Land Usage Concept Plan, 2008, Beca
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 7 - Western Freeway site allotments
Source: Connell Wagner
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4. SITE DEVELOPMENT While this project specifically relates to an analysis of alternate sites for the location of a freight hub in Ballarat to suit short and long-term needs, it is important to note that a freight hub exists to serve industries generating and attracting freight. CoB has acknowledged this relationship through the association of a freight hub with the development of the Airport Precinct as an industrial area over the long term. The development of an industrial area has the potential to increase the rate of population growth and economic development in a region through the creation of employment linked to construction and ongoing staffing of new businesses associated with the development. The following section of the report provides a high level approach to the development of the sites based on the use of freight generating/attracting factors. The freight generating/attracting factors used in this section have been developed by Sd+D for use in prior studies12, and provide a relevant framework within which to assess the development of the proposed Ballarat freight hub sites. The factors are derived estimates for tonnage per employee for various freight sectors, and include derived estimates for employees per hectare for different types of freight generating/attracting industries. Prior research by Sd+D has quantified a link between the development of industrial land and the volume of freight related to that development. The research has been conducted in 2 stages; identification of the number of employees per hectare by type of industry, and quantification of the volume of freight per employee by type of industry. Manufacturing industries are less labour intensive than wholesale and distribution industries, and therefore require less labour per hectare to generate finished goods. A calculation of the total number of potential employees by industry type is easily calculated for the total land available for industrial development, based on the employees per hectare. The second stage of the prior research identified the freight tonnage created by each employee by industry type. That research indicated that wholesale and distribution industries created a larger volume of freight per employee than manufacturing industries. These volumes applied to the total number of employees yield the total freight volume generated from the development of industrial land. This section of the report calculates the total number of employees and freight tonnage generated on each of the recommended sites. The calculations are based on the total available industrial development area, not the area of the proposed freight hub. The Appendices at the end of this report contain the high level site development plans from the Feasibility Study as points of reference.
4.1
Airport North Road Freight Hub Site
The 2009 Feasibility Study dimensioned the contestable freight (freight suitable for consolidation / deconsolidation) for a freight hub. In 2006 the total of all freight moved between Melbourne and Ballarat was approximately 1.4m tonnes. Of this total it is estimated that 560,000 tonnes is freight that may be considered contestable by a freight hub. That study also identified that by 2030 the total volume of freight may be approximately 2.2 MT and contestable freight will have increased to 880,000 tonnes per annum. This equates to between 160 and 195 freight vehicles per day accessing a freight hub if that volume of freight eventuated. Table 3 below indicates that the Airport North site (at 134 hectares of usable industrial land excluding the freight hub) may generate approximately 1,900 new jobs in manufacturing and general industry and 2,000 new jobs in wholesale and distribution. Those new jobs may then generate approximately 1.5 mill tonnes
12
The freight generating/attracting factors were developed by Sd+D in its study titled ‘Queensland Transport Freight Demand Study: Input and Output Freight Generation within South East Queensland’, 2004 FINAL⏐25/06/2010⏐28
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
of freight relating to the new industry and approximately 5,800 tonnes of consumer goods freight per annum (assuming that the jobs represent new population). Table 3 - Employment and freight generation - Airport Precinct General Industry & Manufacture
Wholesale & Distribution
Totals
Rail related
0.0%
0.0%
0.0%
Non rail related
50.0%
50.0%
100.0%
-
-
-
Non rail related
67.0
67.0
134.0
Totals
67.0
67.0
134.0
Rail related
40.4
60.6
Non rail related
28.5
30.0
-
-
-
Non rail related
1,910
2,010
3,920
Totals
1,910
2,010
3,920
Rail related
275
500
Non rail related
275
500
-
-
-
Non rail related
500
1,000
1,500
Totals
500
1,000
1,500
% split
Site areas (ha) Rail related
Employees per hectare
Employees Rail related
Tonnes per employee
Freight tonnes (‘000) as throughput Rail related
Source: Sd+D calculation
The figures shown above have been calculated on the assumption that there is a 50/50 split of available land between manufacturing/industrial activities and wholesaling/distribution activities. When the estimated freight volumes are compared to those projections calculated for the Feasibility Study and based on compounded average growth rates extrapolated to 2030, the comparison shows that the introduction of freight generating/attracting industries has the potential to bring forward the viable development of a freight hub at the Airport North location. The Feasibility Study showed that the total volume of tonnage reached 1.9 MT in 2020 to support between 140 and 170 vehicles per day. Table 4 shows that the addition of approximately 3,900 employees will generate close to 1.9 MT of freight volume. The required timeline to create a commercially viable freight hub may be reduced through the rapid development and/or introduction of new industries in the industrial precinct adjacent to the freight hub.
4.2
Western Freeway Site
The Western Freeway site has been mooted as a combined road and rail freight hub. The currently available land zoned as Industrial 1 totals 34 hectares, of which 16 hectares is earmarked for the combined road and rail freight hub, leaving 18 hectares available for development of an industrial zone.
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Table 4 below identifies the number of employees relating to the total site, the volume of freight generated by new industry on the site, and the equivalent number of shipping containers that freight equates to (based on 13 tonnes per container for the freight related to the new industries). Table 4 – Employment and freight generation – Western Freeway site General Industry & Manufacture
Wholesale & Distribution
Totals
Rail related
60.0%
40.0%
100.0%
Non rail related
60.0%
40.0%
100.0%
Rail related
3.6
2.4
6.0
Non rail related
7.20
4.8
12.0
Totals
10.8
7.2
18.0
Rail related
40.4
60.6
Non rail related
28.5
30.0
Rail related
145
145
291
Non rail related
205
144
349
Totals
351
289
640
Rail related
275
500
Non rail related
275
500
-
100
100
Non rail related
100
100
200
Totals
100
200
300
0.00
7.69
7.69
% split
Site areas (ha)
Employees per hectare
Employees
Tonnes per employee
Freight tonnes (‘000) as throughput Rail related
Rail freight throughput as containers (‘000 containers) Source: Sd+D calculation
The table indicates similar results to those indicated in Table 3 although on a smaller scale. The Feasibility Study indicated that containerised freight volume sufficient to support a port rail service, would not be reached (based on compounded average growth rates) until 2030. That volume was identified as 75,000 tonnes per annum or 150 TEU per week. Table 5 indicates that the 18 hectares of the Western Freeway site is capable of generating approximately 440 containers per week (assuming the freight from the precinct is containerised on rail). The achievement of those volumes is reliant on the attraction of new industry rather than growth in freight volumes over time.
4.3
Capital Investment Approach
The Feasibility Study indicated that a combined road and rail freight hub on both the Airport North and Western Freeway sites could be developed in stages as freight volumes grew over time. The study identified an investment of approximately $13.2 mill to development the first stage of a freight hub for the site. That level of investment contained the following components: • •
Site preparation, access road and car park $1.3 million. Terminal pavement, built up to 1 metre thickness over approximately half of the allocated first stage area $4.25 million. FINAL⏐25/06/2010⏐30
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
• •
Services $4.5 million. Building & structures $3.15 million.
The budget for services establishes the water, electricity, sewerage, and communications infrastructure that will service the remainder of the freight hub site, and as such, represents a large component of the capital investment in the first stage development. It should also be noted that planning for the development of the Ballarat West Employment Zone will provide an overarching capital investment profile for the entire site. The raising of the terminal pavement to 1 metre above ground level serves two purposes; to prevent any possible impact to the site of flooding in the general precinct and to provide a sufficiently strong base to ensure the pavement can support the passage of heavy machinery and loading of shipping containers without incurring damage. Both of these assumptions will require testing to determine their applicability and to validate the costs, in particular, the need to raise the pavement to a height of 1 metre may not be applicable to the Airport North site. The first stage of development of the freight hub site allows sufficient capacity for throughput of up to 195 road freight vehicles per day, and for approximately 2,500 square metres of storage space for freight in transit. 195 road freight vehicles per day is the upper estimate to handle the 2030 projected volume. The major generator of employment in both sites will be the manufacturing and wholesaling industries that are attracted to the region, rather than the freight hub itself. While the industrial development and the freight hub co-exist, and combine to make a compelling offer to induce industries to relocate to the region, investment of the initial capital of approximately $13.2 mill in the freight hub may not, in itself, induce industries to relocate to the region. Simply put, a ‘build it and they will come’ approach to the freight hub will require an up-front investment without an immediate opportunity to generate a return on that investment over the short term. The recommended approach to capital investment on the Airport North site is as follows: •
• • •
•
Complete the value proposition and a prospectus for the site to induce investment by industries wishing to relocate to Ballarat. Target industries should be manufacturing and wholesaling industries to maximise the influx of employees and generation of freight. The value proposition should include access to the freight hub as a means for reducing transport costs for the target industries and organisations. Finalise the conceptual business model that will generate the return on the capital investment in the freight hub. Later chapters of this report offer thoughts on alternative models. Bank land within the precinct for the freight hub and finalise the staged design of the hub. Once an initial organisation has agreed to invest and relocate to the Airport Precinct, explore capital raising opportunities for the development of the freight hub, including offers to transport and logistics organisations and property trusts. CoB may wish to seek the support of the Victorian Government on the basis of job creation and economic development in the region linked to new industries. Aggressively target opportunities to increase the volume throughput for the freight hub to enable a return on capital invested within an acceptable timeframe.
The Western Freeway site Stage 1 development requires a similar capital investment to build a road only freight hub. The combined road and rail facility will attract a capital investment of approximately $86 mill13. That investment will cover the following services: • • • •
13
Consolidation/deconsolidation of LCL/palletised road freight Warehousing space for ambient freight 2 rail sidings of 900 metres each for rake exchange activities Storage space for 250 shipping containers
See the Sd+D Feasibility Study for details of staged total investment FINAL⏐25/06/2010⏐31
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• • • •
Hardstand area to facilitate the loading and unloading of 195 vehicles per day Driver rest areas Fuel, amenities, and mechanical services Gatehouse and management offices for the facility.
In line with the recommendation to bank land for future development, the capital investment strategy for the Western Freeway site is to reserve the available capital unless there are opportunities to acquire land for future freight hub and industrial use, and assess the strategy on a regular basis based on new industrial development proposals. A summary of the capital investment approach for a freight hub, regardless of the preferred location, is shown in Table 5 below. Table 5 - Capital Investment profile
Item
Land Acquisition Stage 1 Development Site prep Terminal pavement Services Buildings & structures Stage 2 Development Pavement expansion Buildings expansion Container storage area Building extension Additional services Stage 3 Development Vehicle parking Additional services Stage 4 Development Building extension Rail sidings Additional pavement Additional services
CAPEX Timing Timing 0‐5 years 5‐10 years 10‐15 years 15‐20 years
Capital $'000
X
TBC
X X X X
1,300 4,250 4,500 3,150
Total
X X X X X
4,280 3,250 2,140 3,170 3,470 X X
2,140 12,460 X X X X X
6,500 11,670 11,160 13,000 ‐‐‐‐‐ 86,440 =====
Source: Sd+D Ballarat Freight Hub Feasibility Study The profile of capital investment is based on the initial development of a road based operation which can be expanded into a combined road and rail operation, with warehousing and related businesses on the hub site. The CAPEX numbers have been sourced from the Feasibility Study, however the figures must be treated as high level and indicative and require validation following specific design and engineering specifications for the confirmed hub location.
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5. BUSINESS MODELS FOR A FREIGHT HUB Earlier sections of this report have identified a capital cost of approximately $13.2 mill to establish the infrastructure required to provide a road freight hub within the broader industrial precinct at either the Airport North or Western Freeway sites. The investors in the development of a freight hub will require a return on their investment, and that return will be reliant on receipt of rental payments over time, or through a similar commercial vehicle. The ability of the terminal operator to pay rental is directly related to the volume of chargeable activity on the site. The ability of terminal users to derive a financial benefit from movements through the freight hub depends, in part, on the total volume of freight moving through the site. In this way, the benefits for the owners, operators, and users of a freight terminal are all linked to the volume of activity on the site. Given the link between potential benefits to investors, managers, and users of a freight hub, it is essential that the business model adopted for the hub is mutually equitable for all parties.
5.1
Site ownership options
There are a number of key options to be considered when analysing the ownership questions for a freight hub. The three key options are: • • •
Ownership by CoB Ownership by an external third party, and Joint ownership between CoB and a third party.
Ownership of the site by CoB provides 2 primary benefits: • •
Provision of ongoing revenue streams through collection of rental payments from the site operator, and The ability for the owner (CoB) to establish the operating model for the site. That is, CoB has the ability to establish an open access site where the site operator works independently of the transport companies that use the site to provide levels of service based on commercial agreements with individual site users, rather than being accused of bias towards (say) their own transport operations at the expense of other site users.
Ownership by an external third party has 2 primary benefits, as follows, but the loss of control over the site development and management may offset any potential benefits: • •
CoB is able to focus on the industrial sites adjacent to the freight hub while the freight hub owner focuses on the hub development, and CoB may be able to lessen their responsibility for capital raising to develop the site
Combined ownership by CoB and an external third party may serve to maintain a share of the rental revenue and some of the control over the appointment of a site operator for CoB while reducing the capital commitment. This is a compromise position and not preferred if overall control of the development of the entire industrial precinct (including the freight hub) is the desired position for CoB. It is recommended that CoB retain ownership of the freight hub site to allow for the appointment of a hub operator and the development of an open access site while retaining rental revenue.
5.2
Site management options
Management and operation of the freight hub can be either by an independent operator, or by a hub user such as a transport company. The preferred option is the appointment of an independent operator for the freight hub where CoB makes the appointment, and develops a commercial arrangement between itself and the hub operator.
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Under this scenario, the operator earns revenue by charging for services in the hub, and by sub-letting space to businesses such as service centres, mechanical repair operations, food outlets and other support businesses. The decisions regarding the types of sub-letting arrangements can be governed by the commercial agreement between CoB and the hub operator to ensure that CoB has control over the types of support businesses that can supplement the site. This arrangement promotes the development of an open access site where all site users are treated evenly and can strike commercial arrangements based on volume throughput and types of service required. The opposing model would see a user of the site also operating the site. While CoB could still draft an operating agreement to govern the sub-tenants and uses for the site, the risk of the user-operator model is that priority in times of limited resources is given to the freight managed by the transport company, at the expense of other users of the site. The recommended operating model is for CoB to appoint an independent management company to provide services on the hub site on an even commercial basis, to all users of the site.
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6. FUTURE STEPS This section outlines a high level future plan for CoB. The aim is to provide some direction to enable CoB to move forward in a logical process. There are some key considerations that must be taken into account to enable CoB to develop the freight hub and associated industrial precinct: • • • •
The freight hub must be moved from the current CBD location. The freight hub will not be commercially viable based on contestable freight volumes from current Ballarat based businesses for some time. CoB must attract new industry to the region to enable the development of the industrial precinct at Airport North and to bring forward the point at which the freight hub becomes commercially viable. The industrial precinct and the freight hub must co-exist to increase the attractiveness of both developments. The industrial precinct is more attractive to new industry with access to a freight hub, and the freight hub requires freight volume to become viable.
The potential conundrum facing CoB will be the resolution of the question; which is developed first, the industrial precinct or the freight hub? The commitment of an ‘anchor’ freight generating organisation to relocate to the industrial precinct will act as the catalyst to develop the freight hub in support of that organisation’s freight movements. The recommended approach to be taken to develop the industrial precinct and freight hub are as follows: 1. 2. 3. 4.
5.
6. 7.
8.
Adopt the recommendation in this report regarding preferred site for a road based freight hub Adopt the recommendation in this report regarding the site for a combined road and rail based freight hub. Commence the adoption of recommendations regarding the acquisition and zoning of land for the Airport North site. Develop a marketing plan for the industrial precinct. This will include but not be limited to: • Develop a value proposition associated with the industrial precinct and engage contractors to provide the marketing collateral to represent that value proposition. The proposition may include incentives to industry such as subsidised power and water for a honeymoon period, suspension of rates for a honeymoon period, availability of quality labour, access to the freight hub, and access to transport infrastructure. • Research potential Melbourne based industrial organisations, or organisations based in greater Victoria, that may be incentivised and targeted to relocate. The criteria for suitable organisations may include: o Significant volumes of inbound and outbound freight movements such as fast moving consumer goods manufacturing companies o Located in an area that has encroaching residential occupancy, or is becoming increasingly land locked o Are facing increasing difficulty relating to vehicle access for inbound and outbound freight. Approach and secure commitment from an anchor organisation to relocate. Additional concessions may have to be introduced to induce an organisation to be the anchor in a new industrial development, including support from State Government. Continue the approaches to other industries and organisations utilising the commitment from the first organisation as proof of CoB’s progress. Once the commitment has been made for the first organisation, source a partner to develop the freight hub. Given earlier comments regarding the impact of development CAPEX, the investment partner may be State Government, or a combination of State Government and private industry. Develop the commercial framework for a partnership arrangement with the hub development partner. Such commercial framework will include issues such as stages of investment and required return on that investment. The commercial arrangements will be predicated by resolution by CoB on the preferred management and control position. FINAL⏐25/06/2010⏐35
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
9.
Armed with the commitment to develop the freight hub, approach the transport and logistics industry seeking expressions of interest to operate and manage the freight hub. The approach to source a hub operator should include the benefits associated with: • Revenue potential based on the relationship between new employees and freight volumes, • Opportunities to sub-let land and/or facilities to organisations that are related to the freight hub operations such as those mentioned earlier in the report. 10. Ensure the planning requirements associated with developing the Western /Midland Highway site for Rail Freight in the long term are incorporated into the next Ballarat Industrial Land Use Strategy and therefore incorporated into the Ballarat Planning Scheme via a “c” amendment process. 11. It is further recommended that the City of Ballarat engage in discussions with the Victorian Department of Transports to ensure that the Ballarat Freight Hub development is contiguous with and an extension of the Melbourne Freight Terminal Network.
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
7. APPENDICES 7.1
Site Scorecards
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 1: Airport South Overall Score Allocation/Weighting % of Total 1 3 4 5 6
20% 15% 20% 15% 30%
Section Highway & Freeway Connections Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 4.2 7.2 2.4 1.8 4.725
20.325 17
1 Highway & Freeway Connections 6 3 6 6
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 8.0% 9.6 2.4 4.0% 4.8 4.0% 4.0% 4.8 21
20.0%
3 Land Profile
9 9 9 9 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 16.2 10.8 2.7 13.5 3.6 3.6 48
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
6 6 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 9 9 12
% of total 10.0% 10.0% 20.0%
5 Expansion Capability
6 6 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 4.8 7.2 12
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 6 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 4.5 2.25 15.75
% of total 15.0% 7.5% 7.5% 30.0%
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Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 2: Airport North Overall Score Allocation/Weighting % of Total 1 3 4 5 6
20% 15% 20% 15% 30%
Section Highway & Freeway Connections Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 6.6 8.1 2.4 2.34 5.4
24.84 17
1 Highway & Freeway Connections 9 9 9 6
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 8.0% 14.4 7.2 4.0% 7.2 4.0% 4.0% 4.8 33
20.0%
3 Land Profile
9 9 9 9 9 9 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 16.2 10.8 2.7 13.5 5.4 5.4 54
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
6 6 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 9 9 12
% of total 10.0% 10.0% 20.0%
5 Expansion Capability
6 9 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 4.8 10.8 15.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 6 6 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 4.5 4.5 18
% of total 15.0% 7.5% 7.5% 30.0%
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Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 3: Frasers Rd & Creswick Road Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 4.8 2.4 4.05 0 1.08 4.725
17.055 21
1 Highway & Freeway Connections 6 6 6 6
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 9.6 8.0% 4.8 4.0% 4.0% 4.8 4.8 4.0% 24
20.0%
2 Rail Operations
6 6 6 6 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 4.8 2.4 7.2 24
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 3 3 6 6 3 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 3.6 0.9 9 3.6 1.8 27
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 6 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 7.2 7.2
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 6 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 4.5 15.75
% of total 15.0% 7.5% 7.5% 30.0%
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Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 4: Rose Hill Rd & Creswick Road Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 4.8 2.4 4.05 0 1.08 4.725
17.055 21
1 Highway & Freeway Connections 6 6 6 6
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 9.6 8.0% 4.8 4.0% 4.0% 4.8 4.8 4.0% 24
20.0%
2 Rail Operations
6 6 6 6 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 4.8 2.4 7.2 24
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 6 3 6 6 0 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 7.2 0.9 9 3.6 0 27
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 6 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 7.2 7.2
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 6 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 4.5 15.75
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐40
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 5: Stage 1 Western Freeway Site Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 6 2.4 4.95 0.3 1.08 5.4
20.13 21
1 Highway & Freeway Connections 9 6 6 9
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 14.4 8.0% 4.8 4.0% 4.0% 4.8 7.2 4.0% 30
20.0%
2 Rail Operations
6 6 6 6 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 4.8 2.4 7.2 24
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 6 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 7.2 0.9 9 3.6 3.6 33
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
3 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 4.5 0 3
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 6 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 7.2 7.2
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 6 6 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 4.5 4.5 18
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐41
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Site 6: Western Freeway & Midland Highway - Southern side Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 4.2 1.5 4.5 0.6 0.54 4.725
16.065 21
1 Highway & Freeway Connections 3 6 6 6
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 4.8 8.0% 4.8 4.0% 4.8 4.0% 4.8 4.0% 21
20.0%
2 Rail Operations
6 3 6 0 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 2.4 2.4 0 15
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
3 6 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 5.4 7.2 0.9 9 3.6 3.6 30
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
3 3 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 4.5 4.5 6
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 3.6 3.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 6 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 4.5 2.25 15.75
% of total 15.0% 7.5% 7.5% 30.0%
FINALâ??25/06/2010â??42
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 7: Coronet St & Builders Close Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 3 0 4.5 0 0.9 4.05
12.45 21
1 Highway & Freeway Connections 3 6 6 0
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 4.8 8.0% 4.8 4.0% 4.0% 4.8 0 4.0% 15
20.0%
2 Rail Operations
0 0 0 0 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 0 0 0 0 0
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 3 6 6 6 3 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 3.6 1.8 9 3.6 1.8 30
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
3 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 2.4 3.6 6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 2.25 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐43
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 8: Norman St & Creswick Road Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 3 2.1 4.95 0 0.54 4.05
14.64 21
1 Highway & Freeway Connections 3 3 6 3
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 4.8 8.0% 2.4 4.0% 4.0% 4.8 2.4 4.0% 15
20.0%
2 Rail Operations
6 6 6 3 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 4.8 2.4 3.6 21
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 6 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 7.2 0.9 9 3.6 3.6 33
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 3.6 3.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 2.25 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐44
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 9: Howitt St & Creswick Road Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 3 1.5 4.5 0 0.54 4.05
13.59 21
1 Highway & Freeway Connections 3 3 6 3
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 4.8 8.0% 2.4 4.0% 4.0% 4.8 2.4 4.0% 15
20.0%
2 Rail Operations
6 3 3 3 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 2.4 1.2 3.6 15
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
3 6 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 5.4 7.2 0.9 9 3.6 3.6 30
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 3.6 3.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 2.25 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐45
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 10: Melbourne Rd & Water Street Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 1.2 0.6 4.05 0 0.54 4.05
10.44 21
1 Highway & Freeway Connections 0 0 6 0
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 0 8.0% 0 4.0% 4.0% 4.8 0 4.0% 6
20.0%
2 Rail Operations
0 3 3 0 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 0 2.4 1.2 0 6
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
3 3 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 5.4 3.6 0.9 9 3.6 3.6 27
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 3.6 3.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 2.25 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐46
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 11: Melbourne Rd & Strickland Parade Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 1.8 1.2 4.05 0 0.54 4.05
11.64 21
1 Highway & Freeway Connections 3 0 6 0
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 4.8 8.0% 0 4.0% 4.0% 4.8 0 4.0% 9
20.0%
2 Rail Operations
3 3 3 3 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 4.8 2.4 1.2 3.6 12
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
3 3 3 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 5.4 3.6 0.9 9 3.6 3.6 27
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 3 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 3.6 3.6
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 3 3 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 2.25 2.25 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐47
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Ballarat IMT Project Site Selection Stage 2 © Sd+D 2008
Site 12: Coulsons Rd & Mildura rail line Overall Score Allocation/Weighting % of Total 1 2 3 4 5 6
20% 10% 15% 10% 15% 30%
Section Highway & Freeway Connections Rail Operations Land Profile Feeder Industry & PUD Cost Expansion Capability Ballarat Planning Scheme
100% Total Each section is weighted as above to give the final overall score Number of scoring criteria in use =
Summary Scores 4.2 2.4 4.5 0 1.08 4.05
16.23 21
1 Highway & Freeway Connections 6 6 6 3
40% 20% 20% 20%
The site allows adequate manoueverability through key intersections The site compliments Council road strategies The site has access to local feeder roads The site has access to B Double/HPFV routes
100% Total for Section
Weighted Score % of Total 9.6 8.0% 4.8 4.0% 4.0% 4.8 2.4 4.0% 21
20.0%
2 Rail Operations
6 6 6 6 100%
40% 20% 10% 30%
The site has access to the freight rail lines Breaking/shunting of trains does not impact operations Signalling/siding changes are easily made to the site The site can accommodate a 900 metre siding
Total for Section
Weighted Score 9.6 4.8 2.4 7.2 24
% of total 4.0% 2.0% 1.0% 3.0% 10.0%
3 Land Profile
6 0 6 6 6 6 100%
30% 20% 5% 25% 10% 10%
There is a minimum 16 hectares available The land is relatively flat Tenure allows for easy acquisition Services can be easily connected There have been no past planning issues with the site Development of the land not restricted by flooding & drainage
Total for Section
Weighted Score 10.8 0 1.8 9 3.6 3.6 30
% of total 4.5% 3.0% 0.8% 3.8% 1.5% 1.5% 15.0%
4 Feeder Industry & PUD Cost
0 0 100%
50% 50%
Local industry will potentially support the site Potential users of the site are located in close proximity
Total for Section
Weighted Score 0 0 0
% of total 5.0% 5.0% 10.0%
5 Expansion Capability
0 6 100%
40% 60%
The site is located within an industrial precinct The site has room to accommodate expansion of related businesses
Total for Section
Weighted Score 0 7.2 7.2
% of total 6.0% 9.0% 15.0%
6 Ballarat Planning Scheme
6 0 6 100%
50% 25% 25%
There are no overlays in place to restrict development Supporting land use is complimentary to this development There is an adequate buffer (min. 200 mtrs) from other land uses
Total for Section
Weighted Score 9 0 4.5 13.5
% of total 15.0% 7.5% 7.5% 30.0%
FINAL⏐25/06/2010⏐48
ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
7.2
Potential Site Aerial Photographs
Figure 8 - Airport South
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 9 - Airport North
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 10 – Frasers Road and Creswick Road
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 11 - Rose Hill Road and Creswick Road
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 12 - Stage 1 Western Freeway Site
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 13 - Cnr Midland Hwy & Western Fwy (Eastern side)
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 14 - Coronet Street - Builders Close
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 15 - Creswick Road and Norman Street
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 16 - Creswick Road and Howitt Street
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 17 - Melbourne Road and Water Street
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 18 - Melbourne Road and Strickland Parade
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 19 - Coulsons Road
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
7.3
Freight hub design drawings
Figure 20 - Layout Drawing – Airport site
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ALTERNATE FREIGHT HUB SITES prepared for City of Ballarat FINAL REPORT June 2010
Figure 21 - Layout Drawing - Western Freeway site
FINAL⏐25/06/2010⏐62